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Tilson Corporation has projected sales and production in units for the second quarter of the coming year as follows:
Cash-related production costs are budgeted at $7 per unit produced. Of these production costs, 40% are paid in the month in which they are incurred and the balance in the following month. Selling and administrative expenses will amount to $70,000 per month. The accounts payable balance on March 31 totals $192,000, which will be paid in April.All units are sold on account for $13 each. Cash collections from sales are budgeted at 50% in the month of sale, 35% in the month following the month of sale, and the remaining 15% in the second month following the month of sale. Accounts receivable on April 1 totaled $564,000 ($104,000 from February's sales and $460,000 from March's sales).Required: a. Prepare a schedule for each month showing budgeted cash disbursements for Tilson Corporation. b. Prepare a schedule for each month showing budgeted cash receipts for Tilson Corporation.
Organizational Diversity
The inclusion of individuals with a variety of characteristics, such as cultural background, race, gender, age, and skills, within an organization.
Sovereign Nations
Independent states that have full self-governing power over themselves and are not controlled by any other external power.
Vertical Differentiation
The structuring of an organization into layers or levels of authority and responsibility.
Hierarchy
A structure where persons or teams are ordered hierarchically, with each level holding different ranks in terms of authority or prestige.
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